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Jointly create the environment in which to live and do business

February 17, 2016
Henry J. Schumacher
Europe-PH News
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PUBLIC­-PRIVATE partnership, or PPP, has basically been understood as a joint venture between the private sector and the government to build infrastructure. Unfortunately, little effort has been undertaken by both the government and the private sector to see PPP as an avenue to discuss issues constructively and with the intention to jointly find and implement solutions.

The Asean region, in general, and the Philippines in particular, are faced with quite a number of challenges. Important decisions are to be made regarding infrastructuie development, financing of national and local governments, preparation for the digital revolution, focusing on inclusive growth, attracting foreign investment, addressing un-­ and underemployment and finding peace.

Although the impact will vary, nobody can walk away from these challenges. Governments (national and local), civil society and businesses will have to address these challenges jointly and will have to contribute their shares to finding solutions. Important is that all players understand that they have to carry part of the responsibility. Everybody has to contribute.

Asean-Eu Perspective by Henry J. SchumacherBusinesses have to be willing to provide expertise, possibly funding, provided the government understands that its main task is to create an enabling environment. The Government will also have to accept that its track record in implementing projects is limited, and that, in partnership with the private sector, success rates will improve substantially.

PPP, in my view, will work if both sides will meet without preconditions, willing to listen, willing to learn, willing to provide ideas and possible solutions, willing to agree on targets and willing to implement them jointly.

Important factors are openness to new ideas, creativity in the search for joint solutions and the willingness to work together as equal partners.

European Chamber of Commerce of the Philippines has suggested the PPPs already for various sectors:

  • Developing infrastructure.
  • Finding solutions for available, affordable and quality electricity / making use of creative models for energy efficiency and conservation.
  • Implementing health­care solutions on the national and local level.
  • Making water resource management (from water distribution to water treatment and conservation) a national undertaking, getting the message across that water is a finite resource.
  • Supporting the government in K to 12 implementation by organizing constructive internships in companies, with the aim to move senior high­school students into employment (even with the apprenticeship bill stuck in the Senate).
  • Developing strategies for agri­food supply and value chains which will take advantage of GSP+
  • Addressing traffic and port congestion.

Initial success is already visible:

  • The health­-care industry is meeting with Department of Health / Food and Drug Administration on a monthly meeting.
  • Cabinet Secretary Jose Rene Almendras has created a regular dialogue between various traffic and port stakeholders; the implementation of Terminal Appointment Booking System (TABS) and the willingness of Metro Manila mayors not to impose truck bans on TABS-registered trucks are big steps forward.
  • Jointly with the Department of Education we are developing best practices for the K to 12 / dual-education / apprenticeship programs that provide senior high­-school students with the much-needed exposure to the work environment and to address the skills gap.
  • We are encouraged to by these initial successes and are hopeful that we will find PPPs for the other areas soon also.

Source: Business Mirror